BASF plans to sell the decorative paints business of RELIUS COATINGS in the near-term
Business with RELIUS Industrial Coatings will be expanded
BASF's business with decorative paints in South America and China is not affected by the planned divestiture and will be further expanded. The business with industrial coatings of RELIUS COATINGS that is managed out of the Oldenburg site will remain an integral part of BASF Coatings.
In 2006, BASF acquired RELIUS COATINGS GmbH and Co. KG as a part of the Degussa construction chemicals business. It remained a company within BASF Coatings. "In a very competitive market, we have been successful in stabilizing the RELIUS deco paints primarily in the areas of brand, distribution and innovation," said Raimar Jahn, President of the Coatings division of BASF. "To be profitable over the long-term, however, our market share is too low, particularly in Germany. For this reason, we believe that the RELIUS deco paints will develop better in another environment," Jahn added.
The decorative paint business of RELIUS focuses on direct sales to painters and specialist dealers. In Germany and France, RELIUS has about 30 distribution offices. In addition, RELIUS markets deco paints through importers in selected countries in Western Europe. In the Netherlands, RELIUS manufactures and markets products of the two brands RELIUS FLEURIT and RELIUS HOEKA from its site in Deurne.
The businesses with protective and marine coatings, general industry coatings as well as coatings for rotor blades for wind energy facilities are explicitly not part of the planned divestiture. These activities will be further developed and globally expanded as a part of BASF's Industrial Coatings business.
The consultation process with the works councils has been started," said Andreas Fehren, Managing Director of RELIUS GmbH & Co. KG. "It is our clear objective to sell the RELIUS deco paint business near-term to another company. By selling we aim to avoid forced redundancies for operational reasons if possible," Fehren said.
About BASF Coatings
BASF Coatings develops, produces and markets a high-quality range of innovative automotive OEM coatings, automotive refinishes and industrial coatings as well as decorative paints. BASF has significant market positions in the Coatings sector in Europe, North America, South America and the Asia/Pacific region. In 2010 BASF Coatings achieved global sales of almost 2.6 billion Euros. The internet address of BASF Coatings is www.basf-coatings.com. You can download a copy of BASF customer magazine Coatings Partner from www.coatingspartner.com
BASF Coatings GmbH
BASF is the world's leading chemical company: The Chemical Company. Its portfolio ranges from chemicals, plastics, performance products, and agricultural products to oil and gas. As a reliable partner BASF creates chemistry to help its customers in virtually all industries to be more successful. With its high-value products and intelligent solutions, BASF plays an important role in finding answers to global challenges such as climate protection, energy efficiency, nutrition and mobility. BASF posted sales of more than €63.9 billion in 2010 and had approximately 109,000 employees as of the end of the year. Further information on BASF is available on the Internet at www.basf.com or in the Social Media Newsroom at newsroom.basf.com.